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pychu [463]
3 years ago
9

U.S. based Majestic Co. sells products to U.S. consumers and purchases all of materials from U.S. suppliers. Its main competitor

is located in Belgium. Majestic Co. is subject to:
Options:
O economic exposure.
O transaction exposure.
O translation exposure.
O no exposure to exchange rate fluctuations.
Business
2 answers:
Eduardwww [97]3 years ago
8 0

Answer:

Economic exposure

Explanation:

U.S. based Majestic Co. sells products to U.S. consumers and purchases all of materials from U.S. suppliers. Its main competitor is located in Belgium. Majestic Co. is subject to economin exposure.

Economic exposure, also known as operating exposure is the effect caused on a company’s cash flows due to unexpected currency rate fluctuations. Economic exposures are long-term in nature and have a substantial impact on a company’s market value. Majestic Co. having a competitor in Belgium can have unexpected currency rate fluctuations

lakkis [162]3 years ago
3 0

Answer:

Economic exposure.

Explanation:

Economic exposure is also known as operating exporter is known as a phenomenon where a business's cash flow is affected by currency rate fluctuations. It occurs over the long term and affects product value.

Businesses protect themselves from economic exposure by operational strategies mostly through diversification, and currency risk mitigation strategies.

In this instance Majestic Co a United States company has a competitor in Belgium and so tend to be affected by foreign exchange fluctuations of the dollar to Belgium currency.

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Answer:

See below

Explanation:

From the above,

One bucket requires;

200 grams of plastic and one half of direct labor

The plastic costs $10 per 200 grams and the employees are paid $15 per hour.

Therefore, one bucket costs (material and labor) :

= $10 + $15 × (1/2)hour = $17.5 per plus 1.10 × $7.50 = $25.75

For 1,080 buckets

$25.75 × 1,080 = $27,810

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3 years ago
At their regular monthly meeting, a group of local brokers agrees that the introduction of "discount brokerages" in their area w
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Answer:

would be considered collusion.

Explanation:

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8 0
3 years ago
8) walter co. and sandburg industries report the following information at december 31: walter sandburg accounts receivable $41,0
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Walter Co. is a manufacturer because it uses raw materials, and has a stock of merchandise inventory, work-in-progress inventory, and finished goods inventory. The current assets of Walter Co. will be:

Current Assets:

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Inventories

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Finished goods inventory      25,000

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3 0
1 year ago
Which of the following statements is true? Group of answer choices If current Real GDP is greater than Natural Real GDP, the eco
Archy [21]

Answer: Wages are flexible if the economy is self-regulating.

Explanation:

Classical economists believe that the economy is self-regulating. This means that if the economy is not at equilibrium, it will return to equilibrium if it is left without interference.

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For instance, if there is a recession, wages will reduce so that the prices that the producers can charge will reduce as well which will enable supply to match demand and bring the economy back to equilibrium.

4 0
3 years ago
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Answer:

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(b) If the Bills practice second degree price discrimination, they can effectively charge

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4 0
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